CNGC

Pipeline and

Compression

Project Update 4-29-2010

CORNING NATURAL GAS CORPORATION

Number of Customers 14,519

Number of Intermediate & Large Volume

Transporters

41

Number of Utilities Served 2

Number of Interstate Pipelines Connected 2

Number of Marcellus Shale Wells Connected 4

Number of Trenton Black River Wells Connected 4

Number of Interstate Pipelines CNGC has Capacity on 4

Number of Storage Assets 3

Annual Throughput in Bcf 9

Miles of High Pressure Distribution Lines 106

Miles of Distribution Lines 307

Normal Operating Pressure Psig. 0.25 to 295

Franchise Area in Square Miles 1,200

Municipalities Served 24

Total Assets $36,639,098.00

Total Operating Revenue $24,105,080.20

CNGC

Corning Natural Gas Corporation (CNGC) Statistics

CNGC System with Interstate Pipelines and Wells

CNGC

Potential Benefits to the Customer

• Increased tax revenue for Municipality

• Reduced energy cost via Gas Supply sharing mechanism of 2% to 9 % annually

• Reduced energy cost via Capacity release revenue potential 1 % annual

• Avoided pipeline charges and fuel cost 6%

•Potential total reduction in gas cost to customer of 9% to 16%

•Improvement or replacement of existing facilities

CNGC

Additional Project Facts

• Potential Sound - 40DBa or less

• Impact on Rural Appearance of Community – Structure will look like Barn

• Impact on Adjacent Property Values – Should be minimal and increase Town tax revenue

• Impact on Air Quality – Minimal air permit not required

1.77 miles 10” installed 2009Line 13

1.63 miles 16” installed 1969Line 4

2.63 miles 10” installed 1954Line 7

3.95 miles 6” installed 2007Ryers Line

N

CNGC Compressor and Pipeline Project Town of Caton, Steuben County

CN

GC

10

” Line

CNGC1

2

3

45

DTI Woodhull Compressor Multiple compressor and support buildings

Fenced Facility site 4.35 Acres With minimal sound mitigating landscape

Older compression units

Nearest receptor – 868

CNGC Caton Compressor Building - sound suppression design .23 Acres in size

Fenced Facility site 1.77 Acres With sound mitigating landscape

Potential for 5 ultra lean burn compressor units

Nearest receptor – 833’

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CNGC

Receptor Data

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Noise Contour Data

Compressor Station Aerial View looking north

View 1

Compressor Station Aerial View looking north

View 1b

Compressor Station looking south west at sunset from Thurber Rd.

View 2

Compressor Station Looking North from Harris Rd.

View 3

Compressor Station Looking south from County Route 120 Rd.(during the day)

View 4

Compressor Station Looking south from County Route 120 Rd.(In the evening)

View 5

LEGEND

Engine & Compressor SpecificationsCompressors: 5 Caterpillar – G3516 AFRC 1340hp @ 1,500RPM w/ an Ariel JGT-4 Ultra Lean Burn CompressorsSuction Pressure: 150-250psigDischarge Pressure: 1150psigDesign Flow Rate: 12MMCf/day @ 200psig

G3500 Ultra Lean Burn Summary

• Greater Power

• Enhanced Performance at Altitude

• Consistently Produces to Lower Emissions Level

• Operational Flexibility

• Increased Fuel Savings

CNGC

CNGC

Thank You

CORNING NATURAL GAS CORPORATION